Average Credit Report Score
Your Credit Report And You
What is an average credit report score in the United States? First some clarifications. You have three credit scores – one from each of the major credit reporting agencies. These are called FICO scores because they are all generated by the Fair Isaacs Company. Experian, one of the three major credit agencies in the USA, has announced that it will start generating its own credit scores for consumers but will continue to rely on Fair Isaacs to generate scores for businesses.
Three Credit Reports
Typically, a credit score is the average of the three scores, the highest score, the lowest score, or the middle score. Different creditors have various criteria for determining which of these scores it will use. That is why you need to be concerned with what is in your reports at all three credit bureaus as your FICO scores are based on the information in your reports.
Despite persistent rumors and complaints, the calculation of your credit score does not consider your gender, race, nationality, religion, or marital status. Scores are based solely on information contained in your credit files.
Good Credit Versus Bad Credit
So what is an average credit report score? According to Fair Isaacs, 58% of American consumers have a credit score of 700 or better. Twenty-seven per cent have a score of 750 to 799. Only 15% of consumers in the USA have credit scores less than 600, and 27% have scores in a range from 600 to 699. FICO scores range from 300 to 850. An average score would seem to be around 680.
The 15% with scores less than 600 are probably out of luck when it comes to getting credit through mainline credit granters and will most likely have to rely upon places that do in-house financing or which “tote-the-note” for automobile financing.
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